India launches new single nationwide tax
- Author: Rogelio Becker Jul 02, 2017,
Jul 02, 2017, 0:58
Certain items have been exempted from the tax base completely.GST has two components- Central GST (CGST) that will be levied by the Centre, State GST that will be levied by States and there will also be another component of Integrated GST (IGST) levied by Central Government on inter-State supply of goods and services. "The GST will make exports more competitive and also provide a level playing field to domestic industry to compete with imports", said Mukherjee. (PTI) The Prime Minister, Shri Narendra Modi addressing at the ceremony to launch the Goods & Service Tax (GST), in Central Hall of Parliament, in New Delhi.
Most of the goods and services have been brought under the 5, 12, 18 and 28%. GST would ensure seamless and uniform indirect tax regime besides lowering inflation and promoting growth in the long run as it sought to allay concerns of states that they would be hurt by its implementation.
He further said, "GST showcases the power of Team India, It shows how the Centre and states come together to do good for the poor". "Micro, small and medium scale traders will suffer huge losses due to this", Chidambaram told media here. It described the GST as the country's biggest tax overhaul launched months after abruptly banning most of the country's currency notes in a bid to stem corruption.
By creating a unified common national market, the GST will act as a major boost to economic efficiency, tax compliance and domestic and foreign investment, he added.
Finance Minister Arun Jaitley today wondered why certain traders are complaining about GST rates when the ultimate burden of taxation will fall on consumers. "There is a lot of confusion regarding the new tax rates and process", said Kalra.
About 1,000 people packed the hall when Modi began to speak from where India declared itself a free nation and first Prime Minister Jawaharlal Nehru made his famous "tryst with destiny" midnight speech nearly seventy years ago. "We now hope that that the government moves to a considerate and empathetic implementation regime with a focus on making the reform acceptable to all sectors of the economy", said M S Mani, Deloitte Haskins and Sells LLP (Senior Director). More than economic reform, it is a social reform.
"Since August previous year we have put forward our demands on GST but the government has never responded", national secretary general Vijay Prakash Jain told AFP.
"India has got rid of over 500 taxes and is ushering into advanced taxation system".
Kolkata: The state BJP leadership has made a decision to engage members of their traders cell and other frontal organisations to in an awareness-cum-training programme on Goods and Services Tax (GST) among small and medium traders of the state.